{"id":205,"date":"2013-07-10T14:57:07","date_gmt":"2013-07-10T19:57:07","guid":{"rendered":"http:\/\/www.accreditedinvestorleads.com\/?p=205"},"modified":"2020-01-22T12:30:06","modified_gmt":"2020-01-22T16:30:06","slug":"reporting-requirements","status":"publish","type":"post","link":"https:\/\/www.accreditedinvestorleads.com\/reporting-requirements\/","title":{"rendered":"Form D and SEC Reporting Requirements for Rule 506"},"content":{"rendered":"
Rule 506 of Reg D provides a safe harbor within the Securities and Exchange Act of 1933.\u00a0 Companies can raise money through a private placement offering without having to formerly register with the SEC and provide the disclosure documents required for issuing a public offering.\u00a0 Companies typically select Rule 506, rather than Rule 505, if they want to raise more than $5 million.\u00a0 You can raise an unlimited amount of money with Rule 506.<\/p>\n
The SEC reporting requirements when using Reg D are often open for interpretation.\u00a0 For example a company needs to provide financial disclosures but, as long as your funds are raised from accredited investors, the company decides what disclosures to give.\u00a0 This applies to all company information.\u00a0 As long as a company is making best efforts, and not attempting to commit fraud, the company itself can determine what disclosures to make.<\/p>\n
These loose guidelines lead many companies to believe that they don\u2019t need to do anything with the SEC as long as they are using Rule 505 or Rule 506.\u00a0 That is actually not the case.<\/p>\n
Companies selling restricted securities under Rule 506 of Reg D need to follow the SEC reporting requirements:<\/p>\n
Companies that are issuing their first private placement memorandum should carefully pay attention to the SEC guidelines for Rule 505 and Rule 506 in order to ensure that they remain within the safe harbor provisions of Reg D.\u00a0 Filing Form D as part of the SEC requirements is not an overly difficult task but it will take some time to get registered in the system.\u00a0 Once your PPM is done register with EDGAR.\u00a0 The process can take a few days and it is important to register early so that when you sell your first security you can easily complete and upload Form D.\u00a0 Once you have finished the process on EDGAR investors will be able to view your Form D online.\u00a0 This can also help to solidify your offering as it shows investors that you are willing to openly communicate and follow aspects of the regulation that many companies are unaware of.<\/p>\n
For more information on SEC reporting requirements you can click here<\/a>.\u00a0 At AccreditedInvestorLeads.com<\/a> you can gain access to the leads you need to raise money through your private placement offering.<\/p>\n Rule 506 of Reg D provides a safe harbor within the Securities and Exchange Act of 1933.\u00a0 Companies can raise money through a private placement offering without having to formerly register with the SEC and provide the disclosure documents required for issuing a public offering.\u00a0 Companies typically select Rule 506, rather than Rule 505, if<\/p>\n","protected":false},"author":7,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mi_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[63],"tags":[],"yoast_head":"\nFor more information please visit our mother site at<\/b> Salesleads.tv<\/b><\/a><\/h2>\n","protected":false},"excerpt":{"rendered":"